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The Great Moderation Consensus Among Macroeconomists Is That Fiscal Policy

question 56

Multiple Choice

The Great Moderation consensus among macroeconomists is that fiscal policy should be used sparingly because:


Definitions:

External Rewards

Benefits provided by an external source, often used as motivation in behavior reinforcement, that are not inherently related to the activity being performed.

Innate Patterns

Refers to behaviors or actions that are genetically hardwired and manifest without the need for learning or experience.

Biologically Determined

Traits, behaviors, or characteristics that are influenced by genetic makeup rather than environmental factors.

Instinct

Natural, unchanging behaviors exhibited by animals in reaction to specific triggers.

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